Accompanying people and businesses with resources from the banking industry

On March 25, in Can Tho, the State Bank of Vietnam (SBV) held a conference on “Promoting bank credit to contribute to economic growth in region 14”. The conference focused on discussing lending interest rate policies and the possibility of expanding credit in 2025 to contribute to promoting sustainable economic growth. Along with that, it resolved difficulties and obstacles, and oriented credit activities in the coming time.

According to the State Bank of Vietnam, it is estimated that by the end of February 2025, the total outstanding credit balance in region 14 will reach VND 387,350 billion, an increase of 0.42% compared to the end of 2024, accounting for 31.73% of the total outstanding debt of the Mekong Delta region, accounting for about 2.46% of the total outstanding debt of the economy.

The State Bank of Vietnam announced on December 30, 2024 that it would immediately assign a credit growth target of about 16% in 2025 so that credit institutions (CIs) can proactively increase credit growth to meet the capital needs of people, businesses, and the economy.

In the first two months of this year, the State Bank of Vietnam has issued 10 directives on general credit, industry and sector credit and interest rates, in which it has instructed credit institutions to strictly implement the directions of the Government, the Prime Minister and the State Bank of Vietnam to stabilize interest rates, contributing to stabilizing the monetary market, striving to reduce lending interest rates, focusing credit on production and business sectors and priority sectors. At the same time, it has directed credit institutions in 2025 to strengthen the review and simplification of credit granting processes and procedures, optimize the application of digital transformation to the credit granting process, and create favorable conditions for accessing bank credit capital.

Speaking at the conference, Governor of the State Bank of Vietnam Nguyen Thi Hong said that over the past time, the whole sector has made efforts to implement solutions to remove difficulties and increase credit for customers' production and business. Since 2020, the operating interest rates have been continuously adjusted down, creating conditions for credit institutions to reduce lending interest rates to customers, especially reducing lending interest rates for priority sectors. Along with that, flexibility and innovation in credit growth management create initiative for credit institutions.

At the same time, deploy many preferential credit programs for industries and sectors; immediately implement measures to support customers with difficult loans, restructure debt repayment terms, waive and reduce loan interest and fees without transferring debt groups; provide new loans for people and businesses to restore and stabilize production, support economic growth after the pandemic and floods. In addition, promote digital transformation, reform administrative procedures, and facilitate customers in accessing credit.

Governor of the State Bank of Vietnam Nguyen Thi Hong said that the policy to support enterprises is implemented based on the motto of sharing difficulties and accompanying people and enterprises with the banking sector's own resources. Therefore, credit institutions have adjusted their plans, business targets, and profits to have conditions to support people and enterprises.

"The bad debt ratio of our region is also higher than that of the Mekong Delta region, especially the characteristics of localities in the region that are often affected by natural disasters, droughts, saltwater intrusion, and complicated epidemics, affecting the production activities of businesses and people. In the context of many challenges to achieve the economic growth target assigned by the Government from 8 to 9.5%, it requires our entire banking sector to try and the provinces will also try" - Governor of the State Bank of Vietnam Nguyen Thi Hong emphasized.

At the conference, delegates focused on exchanging and discussing general credit activities nationwide and in the region 14 in the first months of this year. Along with that, promoting credit investment in feasible key projects and works to serve the socio-economic development of the region and the local strengths and sectors according to the orientation in Resolution 13 of the Politburo, Resolution No. 78 of the Government.

Along with that are credit programs and policies under the direction of the Government and the Prime Minister, especially specific programs for the Mekong Delta region such as the Loan Program for linking production, processing and consumption of high-quality and low-emission rice products in the Mekong Delta region according to Decision 1490 of the Prime Minister.

Source: https://vov.vn/kinh-te/dong-hanh-cung-nguoi-dan-doanh-nghiep-bang-nguon-luc-cua-nganh-ngan-hang-post1163630.vov